Mku Limited And Anr vs. Union Of INDIA And Others

W.P.(C)/4755/2025HC DelhiGSTCNR DLHC01020715202523 December 2025Bench: HON'BLE MR. JUSTICE TUSHAR RAO GEDELA,HON'BLE CHIEF JUSTICE DEVENDRA KUMAR UPADHYAYA51 pages
AI SummaryDismissed

Held

The Court held that the requirement of a license issued by DIPP was not unreasonable and that a license issued by DoC, even if it was a delegatee, did not satisfy the tender condition. The specific nature of the license and the considerations for its issuance by DIPP were deemed relevant.

Facts

Petitioners, who are Export Oriented Units (EOUs), were disqualified from participating in tenders for defense equipment. They had obtained Industrial Licenses from the Department of Commerce (DoC) after the relevant authority for issuing such licenses to EOUs was transferred from the Department of Industrial Policy & Promotion (DIPP) to DoC. The tenders required a license issued by DIPP.

Key Issues

Whether an Industrial License issued by the Department of Commerce to an EOU is equivalent to a license issued by the DIPP for the purpose of tender eligibility. Whether the tender condition requiring a DIPP-issued license was arbitrary.

Sections Cited

Section 30, Registration and Licensing of Industrial Undertakings Rules, 1952

AI-generated summary — verify with the full judgment below

Heard together (3 matters)

W.P.(C) 4748/2025
W.P.(C) 4750/2025
W.P.(C) 4755/2025

Read from the judgment's own cause title. This page is filed under one of them.

W.P.(C) 4748/2025 & connected matters

* IN THE HIGH COURT OF DELHI AT NEW DELHI %

Judgment reserved on: 28.11.2025 Judgment delivered on: 23.12.2025

+ W.P.(C) 4748/2025, CM APPLs 21775-21777/2025, CM APPL 47301/2025 & CM APPL 53787/2025 + W.P.(C) 4750/2025, CM APPLs 21780-21782/2025, CM APPL 39747/2025 & CM APPL 53877/2025 + W.P.(C) 4755/2025, CM APPLs 21888-21890/2025 & CM APPL 53870/2025

MKU LIMITED AND ANR

.....Petitioners

versus

UNION OF INDIA AND OTHERS

.....Respondents

Advocates who appeared in this case: For the Petitioners : Ms. Madhavi Divan, Senior Advocate and Mr. Manish Vashisht, Senior Advocate with Mr. Anirudh Sharma, Mr. Rajiv Dalal, Mr. Sanjeev Kr Sharma, Mr. Varun Kesharwani, Ms. Dipti Singh Arya and Mr. Sudhir Atri, Advocates. For the Respondents : Mr. R. Venkatramani, Attorney General with Mr. Vikram Jetly, CGSC, Ms. Shreya Jetly, Mr. Aakash Pathak (GP), Mr. Chitvan Singhal, Mr. Abhishek Pandey, Advocates for UOI alongwith Brig Sidharth Sen, SM, Lt Col Gaurav Chaudhary and Major Anish

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